Junk primary sees $1.69 billion; J.B. Poindexter jumps on break; funds add $2.05 billion

By Abigail W. Adams

Portland, Me., Dec. 7 – The domestic high-yield primary market continued to unleash deals at a steady pace with three issuers pricing a cumulative $1.69 billion, and two deals totaling $1.3 billion were slated to price during Friday’s session.

XPO Inc. priced $585 million of eight-year senior notes (Ba3/BB-/BB+), J.B. Poindexter & Co., Inc. priced an upsized $600 million issue of eight-year senior notes (B2/B+), and Permian Resources Operating LLC priced a $500 million add-on to its 7% senior notes due Jan. 15, 2032 (B1/BB-/BB).

Two deals remain on the forward calendar with pricing expected on Friday: CQP Holdco LP and BIP-V Chinook Holdco LLC’s $700 million offering of 10-year senior secured notes (B1/BB) and CVR Energy Inc.’s $600 million offering of five-year senior notes (B1/B+/BB-).

J.B. Poindexter’s new notes saw a strong break with the notes shooting up to a 101-handle.

PennyMac Financial Services Inc.’s 7 7/8% senior notes due 2029 (Ba3/B+/BB-) were trading at a healthy premium to their discounted issue price.

Alliant Holdings Intermediate LLC and Alliant Holdings Co-Issuer Inc.’s 7% senior secured notes due 2031 (B2/B) were also holding a nominal premium in active trade.

Meanwhile, inflows continued with high-yield mutual funds and exchange-traded funds seeing $2.05 billion enter the space in the week through Wednesday’s close, according to a market source.

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